Circular No. 28/2016/TT-BLDTBXH guiding the implementation of regulations on labor, wages, remuneration, and bonuses for companies with state-controlled shares or capital contributions

CIRCULAR

GUIDELINES FOR IMPLEMENTING PROVISIONS ON LABOR, WAGES, FEES, AND BONUSES FOR JOINT STOCK COMPANIES WITH DOMINANT STATE CAPITAL CONTRIBUTIONS

Pursuant to Decree No. 106/2012/NĐ-CP dated December 20, 2012 of the Government"b) In addition to the lists of public services issued according to the provisions of Clause 2, Article 4 of this Decree, specialized agencies under provincial People's Committees shall report to the provincial People's Committee for decision-making on amending, supplementing, or issuing the list of public services funded by the state budget within their jurisdiction and consistent with the local budget capacity within the approved budget by the Provincial People's Assembly, and send it to the Ministry of Finance and relevant ministries and sectors for supervision during implementation."Theo đề nghị của Vụ trưởng Vụ Tín dụngof the Government stipulating functions, tasks, powers, and organizational structure of the Ministry of Home AffairsThe Minister of Labor, Invalids and Social Affairs issues this Circular stipulating the construction, management, update, exploitation and use of social assistance and poverty reduction databases.

Pursuant to DecreeNo. Pursuant to Decree No. 53/2016/NĐ-CP dated June 13, 20201of the Government on labor, wages, fees, and bonuses for joint stock companies with dominant state capital contributions;

Pursuant to the proposal of the Director of the Department of Ethnic Affairs and Religion Propaganda;on pursuant to the decision of the Director of the Department of Labor - Wages;

The Minister of Labor - Invalids and Social Affairs issues this Circular guiding the implementation of provisions on labor, wages, fees, and bonuses for joint stock companies with dominant state capital contributions;, amended and supplemented by Decree No. 109/2025/NĐ-CP and Decree No. 193/2025/NĐ-CP shares, contribuNo.tions,No.dominant shareholdings of the State.

Section 1. GENERAL PROVISIONS

Article 1. Scope of Regulation

Article 1. This Circular guides the implementation of provisions on labor, wages, fees, and bonuses as the basis for the State's representative to participate and vote at the Board of Directors' meeting and the Shareholders' Meeting of joint stock companies where the State holds more than 50% of the charter capital, and at the Meeting of Members of joint-stock limited liability companies with two or more members where the State's contribution exceeds 50% of the charter capital, as stipulated in Decree No. 53/2016/NĐ-CP dated June 13, 2016 of the Government on labor, wages, fees, and bonuses for joint stock companies with dominant state capital contributions (hereinafter referred to as Decree No. 53/2016/NĐ-CP).

Article 2. Joint stock companies where the State holds more than 50% of the charter capital, and joint-stock limited liability companies with two or more members where the State's contribution exceeds 50% of the charter capital mentioned in Clause 1 of this Article (hereinafter referred to collectively as the company) are companies under the management of Ministries, agencies equivalent to Ministries, agencies under the Government, People's Committees of provinces and centrally-run cities, or organizations entrusted by the Government to exercise the rights and responsibilities of the owner of the State's investment capital in the company.

Article 2. Applicability

The application objects of this Circular shall be implemented in accordance with Article 2 of Decree No. 53/2016/NĐ-CP.

Article 3. Principles of labor management, wage, fee, bonus determination, and objective factors when determining wages and fees

Clause 1. Principles of labor management, wage, and fee determination for the company shall be implemented in accordance with Article 3 of Decree No. 53/2016/NĐ-CP.

Clause 2. Objective factors affecting labor productivity and profit that need to be excluded when determining employee wages and managerial wages and fees are specified in Article 7 of Decree No. 53/2016/NĐ-CP. The exclusion of the influence of objective factors shall be carried out as follows:

Point a. The impact of objective factors (if any) on labor productivity and profit of the company must be calculated and quantified into specific figures to be excluded.

Point b. Objective factors increasing labor productivity and profit must be deducted, while objective factors decreasing labor productivity and profit must be added to the labor productivity and profit when determining planned wages and fees; at the same time, the impact of objective factors on actual labor productivity and profit compared to the plan must be reassessed to exclude them when determining actual wages and fees.

Section 2. LABOR MANAGEMENT

Article 4. Review and restructure organizational structure and labor force

Clause 1. The company reviews its organizational structure and management hierarchy again to adjust and arrange appropriately according to functions, tasks, and production and business requirements, ensuring efficiency, without overlapping functions and tasks, and having connections between production and business units, specialized departments, and direct management departments, minimizing intermediate organizational levels.

Clause 2. Reorganize the labor force within each unit, team, production and business workshop, specialized department, organizing positions or job titles for managerial staff, specialized, technical, and operational staff, and service staff; for direct production and business staff, organize according to the machine and equipment production line or work process, determine the labor force and arrange work based on labor norms.

Clause 3. Review existing labor norms or establish new labor norms for direct production and business staff, ensuring the principles stipulated in Decree No. 49/2013/NĐ-CP dated May 14, 2013 of the Government detailing the implementation of certain Articles of the Labor Code on wages.

Article 5. Labor Plan Construction

1. The annual labor plan of the company shall be established based on the organizational structure under Article 4 of this Circular, requirements for the volume, quality, and tasks of production and business plans, the situation of labor utilization in the previous year, job positions or job titles, and labor norms.

2. The labor plan includes: the total number of workers needed to be employed, the quantity and quality of newly recruited workers according to job titles and working positions; training and professional development plans for each type of worker. Under conditions where the volume and tasks of planned production and business do not increase, and the management units and production and business bases of the company do not increase compared to the implementation of the previous year, the average planned number of workers shall not exceed 5% compared to the actual average number of workers utilized in the previous year. The average planned number of workers and the actual average number of workers utilized in the previous year shall be determined according to the Appendix attached to this Circular.

3. The labor plan must be approved by the Board of Directors and the Board of Members before implementation, clearly assigning the rights, responsibilities, and tasks of individuals and organizations in implementing the labor plan.

Article 6. Evaluation of labor utilization situation

1. Annually, the company must evaluate the situation of labor utilization according to the approved labor plan. The evaluation content must clearly analyze the strengths, weaknesses, and limitations in recruitment and utilization of workers, subjective and objective reasons, the responsibility of individuals and organizations, and propose measures to address the weaknesses.

2. During the implementation process, if workers do not meet job requirements or have no work, the company must take measures to rearrange labor or train and retrain workers. In cases where all measures have been taken but still cannot arrange jobs, resulting in termination of the labor contract, the company must fully settle all benefits and rights for workers in accordance with labor laws.

3. In cases where recruitment exceeds the plan or does not comply with the plan, leading to workers having no work and termination of the labor contract, the person responsible for recruitment must bear responsibility before the Board of Directors and the Board of Members according to the company's regulations and charter.

Section 3. WAGES OF WORKERS

Article 7. Planned Wage Fund

The planned wage fund for workers is determined based on the average planned number of workers and the average planned wage level specified in Article 8 of this Circular.

Article 8. Average Planned Wage Level

Based on the average wage level implemented in the previous year and production and business targets, the company determines the average planned wage level (monthly) linked to labor productivity and planned profit compared to the implementation of the previous year as follows:

1. For companies with an average labor productivity increase, the average planned wage level is determined relative to the average wage level implemented in the previous year linked to planned profit as follows:

a) If the planned profit equals or exceeds the implementation of the previous year, the average planned wage level increases not exceeding the increase in average labor productivity.

The average wage level implemented in the previous year is determined based on the actual wage fund divided by the actual average number of workers utilized in the previous year. Average labor productivity is calculated according to the guidelines in the Appendix attached to this Circular.

b) If the planned profit is lower than the implementation of the previous year, the average planned wage level increase does not exceed 80% of the increase in average labor productivity.

2. For companies with an average labor productivity equal to the implementation of the previous year, the average planned wage level is determined linked to planned profit as follows:

a) If the planned profit increases compared to the implementation of the previous year, the average planned wage level increases relative to the average wage level implemented in the previous year but not exceeding 20% of the profit increase;

b) If the planned profit equals the implementation of the previous year, the average planned wage level equals the average wage level implemented in the previous year;

c) If the planned profit decreases compared to the implementation of the previous year, the average planned wage level decreases relative to the average wage level implemented in the previous year by 20% of the profit decrease.

3. For companies with an average labor productivity decrease compared to the implementation of the previous year, the average planned wage level is determined linked to planned profit as follows:

a) If the planned profit increases compared to the implementation of the previous year, the average planned wage level is determined according to the following formula:

TL_bqkh = TL_bqthnt - TL_ns + TL_ln                          (1)

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average wage level implemented in the previous year.

- TL_ns: The amount of wage reduction according to average labor productivity, determined according to the formula:

TL_ns = TL_bqthnt x x 0,8 (2)

- Electronic Information Portal_kh : Average planned labor productivity; W_thnt : Average labor productivity implemented in the previous year.

- TL_{lFor power plants invested under the Build-Operate-Transfer (BOT) model, n is determined according to the operational period of the power plant stipulated in the BOT contract.}: The additional amount of wage increase according to profit, determined according to the following formula:

TL_ln = TL_bqthnt x  x 0,2 (3)

Where:

- TL_bqthnt: The average wage level implemented in the previous year.

- P_kh: Planned profit; P_thnt: Actual profit of the previous year.

b) If the planned profit equals the implementation of the previous year, the average planned wage level is determined by subtracting the wage reduction according to average labor productivity (TL_ns) calculated according to formula (2) from the average wage level implemented in the previous year.

c) If the planned profit is lower than the implementation of the previous year, the average planned wage level is determined according to the following formula:

TL_bqkh = TL_bqthnt - TL_ns - TL_{lFor power plants invested under the Build-Operate-Transfer (BOT) model, n is determined according to the operational period of the power plant stipulated in the BOT contract.}                             (4)

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average wage level implemented in the previous year.

- TL_ns: The amount of wage reduction according to average labor productivity, determined according to formula (2).

- TL_{lFor power plants invested under the Build-Operate-Transfer (BOT) model, n is determined according to the operational period of the power plant stipulated in the BOT contract.}: The amount of wage reduction according to profit, determined according to the formula:

TL_ns = TL_bqthnt x x 0.2 (5)

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh: Planned profit; P_thnt: Actual profit of the previous year.

4. For companies with losses or without profits (after excluding objective factors if any), the average planned salary level shall be calculated based on the average salary level stipulated in the labor contract (including the salary, allowances, and other additional amounts specified in Clause 1, Point a Clause 2 and Point a Clause 3 Article 4 Circular No. 47/2015/TT-BLDTBXH dated November 16, 2015 of the Ministry of Labor, Invalids and Social Affairs guiding the implementation of certain provisions on labor contracts, labor discipline, and material responsibility under Decree No. 05/2015/NĐ-CP dated January 12, 2015 of the Government detailing and guiding the implementation of certain contents of the Labor Code). The company must organize a review and rearrangement of labor to enhance labor productivity, production efficiency, business performance, and salaries for workers.

5. For companies with profits (after excluding objective factors if any), after determining salaries according to Clause 1, 2, and Clause 3 of this Article, if the average planned salary level is lower than the average salary level stipulated in the labor contract as provided in Clause 4 of this Article, then the average planned salary level shall be calculated based on the average salary level in the labor contract. In cases where the average labor productivity and planned profit are higher than the actual figures of the previous year, but the average planned salary level is lower than the average salary level in the labor contract, the average planned salary level shall be calculated based on the average salary in the labor contract and adjusted according to the increase in labor productivity and planned profit compared to the actual figures of the previous year.

6. For companies that reduce losses compared to the actual figures of the previous year or newly established companies that have not met the criteria for comparison and determination of salaries, the average planned salary level shall be determined based on the degree of reduced losses or production and business plans, ensuring overall proportionality.

Article 9. Advance Salary Payment, Unit Price of Salary

1. Based on the production and business plan, the company decides on advance salary payments to pay monthly to workers.

2. Depending on actual requirements, the company determines the unit price of salary based on total revenue or total revenue minus total costs excluding salaries, or profit, or units of products, or other production and business efficiency indicators suitable for the nature of operations to manage the company's production and business activities.

Article 10. Actual Salary Fund

1. The actual salary fund for workers is determined based on the actual average number of employees used as stipulated in Clause 2 and the actual average salary level as provided in Clause 3 of this Article.

2. The actual average number of employees used is calculated according to the guidelines set out in the Appendix issued together with this Circular, linked to the planned number of employees approved by the Board of Members or the Board of Directors, ensuring that under conditions where the volume and tasks of production and business operations are not increased or the management units and business bases of the company do not increase compared to the plan, the actual average number of employees used to calculate the salary fund does not exceed the planned average number of employees.

3. The actual average salary level is determined based on the planned average salary level linked to the increase or decrease in actual average labor productivity and profit compared to the plan, following the principle of determining the planned average salary level based on the actual average salary level of the previous year linked to the increase or decrease in planned average labor productivity and profit compared to the actual figures of the previous year as stipulated in Article 8 of this Circular.

4. For companies with losses or without profits (after excluding objective factors if any), the actual salary fund shall be calculated based on the average salary level in the labor contract, plus the salary for public holidays, Tet holidays, paid leave days (if not already included), and additional salary for working night shifts and overtime as prescribed by the Labor Code.

Article 11. Distribution of Wages

1. The company establishes wage regulations based on job positions and titles, ensuring compliance with legal provisions, democracy, fairness, transparency, and participation from the Trade Union Executive Committee and employees of the company.

2. Based on the actual wage fund and wage regulations, the company pays wages to employees linked to productivity, quality, production and business efficiency, and provides appropriate compensation for those with talent, professional expertise, high labor productivity, and significant contributions to the company.

3. The company shall not use the wage fund of employees to pay managers of the company and shall not use the wage fund of employees for other purposes.

Section 4. WAGES AND COMPENSATION FOR COMPANY MANAGERS

Article 12. Planned Wage Fund for Dedicated Managers

1. The planned wage fund is determined based on the number of company managers and the average planned wage level (monthly) of dedicated company managers (including: dedicated members of the Board of Members or dedicated members of the Board of Directors, General Director, Director, Deputy General Director, Deputy Director, Chief Accountant, Head of Supervisory Board, and dedicated Supervisors).

2. The average planned wage level of dedicated company managers is determined and decided by the company, tied to the preservation and development of capital, fulfillment of obligations and responsibilities towards employees and the state as stipulated by law, and production and business plan targets according to the following principles:

a) Preservation and development of capital, ensuring that employee wages and income do not decrease, fully fulfilling obligations and responsibilities towards employees and the state as stipulated by law, and if production and business plan indicators increase compared to the previous year's implementation, then the average planned wage level of dedicated managers will increase compared to the previous year's implemented average wage level.

b) If there is no preservation and development of capital, full fulfillment of obligations and responsibilities towards employees and the state as stipulated by law, and if employee wages and income and production and business plan indicators decrease compared to the previous year's implementation, then the average planned wage level of dedicated managers will decrease compared to the previous year's implemented average wage level.

3. The average planned wage level of dedicated company managers determined and decided under Clause 2 of this Article must comply with the provisions of Articles 13 and 14 of this Circular.

Article 13. Average Planned Wage Level for Dedicated Managers Who Are State Capital Representatives

The maximum average planned wage level for dedicated managers who are state capital representatives is linked to the company's planned profit as follows:

1. For companies with planned profits below 50 billion VND, the maximum average planned wage level does not exceed 36 million VND/month (referred to as the basic salary).

2. For companies with planned profits of 50 billion VND or more, the average planned wage level is calculated based on the basic salary and an additional adjustment factor relative to the basic salary, linked to the scale of profit in the main production and business sector of the company as follows:

a) The maximum additional adjustment factor is 0.5 for companies with profits from 50 billion to less than 100 billion VND.

b) The maximum additional adjustment factor is 1.0 for banks, financial institutions, telecommunications companies with profits from 100 billion to less than 500 billion VND; oil and gas exploration and processing, mining, electricity, trade, service sectors with profits from 100 billion to less than 300 billion VND; and other sectors with profits from 100 billion to less than 200 billion VND.

c) The maximum additional adjustment factor is 1.5 for banks, financial institutions, telecommunications companies with profits from 500 billion to less than 1 trillion VND; oil and gas exploration and processing, mining, electricity, trade, service sectors with profits from 300 billion to less than 700 billion VND; and other sectors with profits from 200 billion to less than 500 billion VND.

d) The maximum additional adjustment factor is 2.0 for banks, financial institutions, telecommunications companies with profits from 1 trillion to less than 1.5 trillion VND; oil and gas exploration and processing, mining, electricity, trade, service sectors with profits from 700 billion to less than 1 trillion VND; and other sectors with profits from 500 billion to less than 700 billion VND.

đ) The maximum additional adjustment factor is 2.5 for banks, financial institutions, telecommunications companies with profits of 1.5 trillion VND or more; oil and gas exploration and processing, mining, electricity, trade, service sectors with profits of 1 trillion VND or more; and other sectors with profits of 700 billion VND or more.

e) For companies with profits higher than 50% or more compared to the profit levels (by each sector) specified in point đ Clause 2 of this Article, and companies operating in certain specialized industries with lower profits than the lowest profit level specified in points a, b, c, d, đ Clause 2 of this Article but require encouragement for managerial labor, may be considered and applied at a higher rate not exceeding 10% more than the corresponding additional wage adjustment factor specified in points a, b, c, d, đ Clause 2 of this Article.

Based on the corresponding maximum adjustment factor framework linked to profit levels in each sector specified in Clause 2 of this Article, when necessary, the state capital ownership representative agency decides on the specific division of the additional adjustment factor corresponding to the planned profit, suitable to reality, ensuring the overall correlation regarding scale and operational effectiveness among companies.

3. For companies without profit, losses, reduced losses compared to the previous year's implementation, or newly established companies, the wage of company managers is determined based on the production and business plan, degree of loss reduction, ensuring overall correlation.

Article 14. Average planned salary level for dedicated managers who are not state capital representatives

The average planned salary level for dedicated company managers who are not state capital representatives shall be determined based on the position of the capital representative, ensuring a reasonable balance with the salaries of similar positions in the market and the salary of state capital representatives as stipulated in Article 13 of this Circular.

Article 15. Actual Salary Fund for Dedicated Managers

1. The actual salary fund is determined based on the number of actual dedicated company managers (averaged monthly) and the average actual salary level.

2. The average actual salary level is determined based on the average planned salary level linked to the degree of achievement of production and business targets specified in Articles 13 and 14 of this Circular as follows:

a) If the company completes the production and business plan and the realized profit equals the planned profit, the average actual salary level will be equal to the average planned salary level.

b) If the company completes the production and business plan and the realized profit exceeds the planned profit, for every 1% increase in realized profit over the planned profit, the average actual salary level will be increased by a maximum of 2%, but not exceeding 20% compared to the average planned salary level.

c) If the realized profit is lower than the planned profit, for every 1% decrease in realized profit compared to the plan, the average actual salary level of the company manager who is a state capital representative must be reduced by 1% compared to the average planned salary level.

In cases where the realized profit decreases and is lower than the lowest profit level according to each sector when determining the average planned salary level as stipulated in Clause 2, Article 13 of this Circular, the average actual salary level will only be calculated based on the additional adjustment factor within the corresponding framework specified in Clause 2, Article 13 of this Circular.

For company managers who are not state capital representatives, the average actual salary level is decided by the company, ensuring a reasonable balance with the salary of the company manager who is a state capital representative.

Article 16. Remuneration Fund for Non-Dedicated Managers

1. The planned remuneration fund is determined based on the number of non-dedicated company managers, working time, and the remuneration level (monthly) set by the company, which can be up to 20% of the average planned salary level of dedicated company managers.

2. The actual remuneration fund is determined based on the actual number of non-dedicated company managers at various points throughout the year, working time, and the remuneration level (monthly) set by the company, which can be up to 20% of the actual salary level of dedicated company managers.

Article 17. Payment of Salaries and Remunerations to Managers

1. The payment of salaries and remunerations to managers is carried out in accordance with the company's salary and remuneration regulations.

2. The salary and remuneration regulations are established by the company, linked to the contribution to production and business efficiency and management results or oversight of each manager, ensuring compliance with legal provisions, democracy, transparency, and public disclosure, with participation from the Company Trade Union Executive Committee before implementation.

Section 5. BONUSES AND BENEFITS FOR EMPLOYEES AND COMPANY MANAGERS

Article 18. Bonus and Benefit Fund

Based on annual profits after fulfilling obligations to the State, according to the provisions of the State and the Company's Charter, the company determines the bonus and benefit fund for employees and company managers based on the degree of achievement of profit targets as follows:

1. Bonus and Benefit Fund for Employees:

a) If actual profit equals the plan, the maximum bonus and benefit fund shall not exceed three months' average actual salary of employees.

b) If actual profit exceeds the plan, in addition to the bonus and benefit fund stipulated in point a above, the company may also allocate an additional amount equal to 20% of the excess profit over the planned profit, but the maximum shall not exceed three months' average actual salary of employees.

c) If actual profit is lower than the plan, the maximum bonus and benefit fund shall not exceed three months' average actual salary of employees multiplied by the percentage ratio between actual profit and planned profit.

2. Bonus Fund for Company Managers:

a) If actual profit equals or exceeds the plan, the maximum bonus fund for company managers shall not exceed one and a half months' average actual salary of dedicated company managers.

b) If actual profit is lower than the planned profit, the maximum bonus fund for company managers shall not exceed one month's average actual salary of dedicated company managers.

3. Based on the bonus and benefit fund specified in Clause 1 of this Article, the company decides to allocate it into a bonus fund for employees (the bonus fund shall not be used to award bonuses to company managers except for bonuses prescribed by laws on commendation and rewards) and a welfare fund for investment in building or repairing welfare facilities and funding welfare activities for employees (including company managers).

Section 6. RESPONSIBILITY FOR IMPLEMENTATION AND EFFECTIVENESS OF ENFORCEMENT

Article 19. Responsibilities of the State Capital Representative

1. Participate in providing opinions with the Board of Directors, Board of Members to incorporate labor management, salary, remuneration, and bonus regulations as prescribed by the Government and guidelines set out in this Circular into the Company's Charter or internal regulations; participate in voting to decide specific contents regarding labor, salary, remuneration, and bonuses for the company.

2. Compile the company's proposed plan for labor utilization; the actual salary, remuneration, and bonus fund from the previous year; the planned salary, remuneration, and bonus fund for employees and company managers to report to the state capital ownership representative agency (accompanied by data in Form No. 1, 2, and No. 3 issued together with this Circular).

3. Propose and seek opinions from the state capital ownership representative agency on the plan for labor utilization, the method of determining the salary, remuneration, and bonus fund for the company as stipulated in Clause 2 of this Article before participating in discussions with the Board of Directors, Board of Members on the basic contents in Form No. 4 issued together with this Circular.

4. Evaluate the results of implementing the opinions of the state capital ownership representative agency and compile, report to the state capital ownership representative agency on the plan for labor utilization; the actual salary, remuneration, and bonus fund from the previous year; the planned salary, remuneration, and bonus fund for employees and company managers (accompanied by data in Form No. 1, 2, and No. 3 issued together with this Circular) after the Board of Members, Board of Directors have approved.

5. Annually, report to the state capital ownership representative agency the overall results of monitoring labor, salary, remuneration, and bonuses for the company (which must clearly state what has been achieved, what has not been achieved, and reasons) as a basis for evaluating the extent of task completion, granting additional allowances, remuneration, bonuses, and reward and disciplinary systems for the state capital representative according to regulations. In cases where tasks are not completed, the responsibility system must be clearly defined and measures to resolve the situation proposed.

For cases where there are multiple state capital representatives at the company, the largest state capital representative is responsible for leading the exchange, unification, and compilation of opinions from other state capital representatives to report to the state capital ownership representative agency on the contents specified in Clauses 2, 3, and Clause 4 of this Article.

Article 20. Responsibilities of the State Capital Ownership Representative Authority

1. Assign tasks in writing to the State Capital Shareholder Representative to manage labor, wages, remuneration, and bonuses for the company according to the contents stipulated by the Government and the guidance provided in this Circular.

2. Receive and review reports from the State Capital Shareholder Representative on labor, wages, remuneration, and bonuses of the company to provide opinions; decide and be responsible for applying the additional wage adjustment factor for full-time company managers higher than not more than 10% as prescribed in point e, Clause 2, Article 13 of this Circular.

In cases where the State Capital Shareholder Representative requests opinions to apply an additional wage adjustment factor for full-time company managers higher than the prescribed range in Clause 2, Article 13 of this Circular, the State Capital Ownership Representative Authority shall base its decision on the company's profit scale, the market wage level for equivalent positions, and consult the Ministry of Labor, War Invalids and Social Affairs before instructing the State Capital Shareholder Representative to balance overall.

3. Annually assess the performance of the State Capital Shareholder Representative in charge of specialized work at the company to serve as a basis for directing the determination of wage levels and bonuses for the State Capital Shareholder Representative working in a specialized capacity at the company or determining and paying remuneration, allowances, and bonuses for the State Capital Shareholder Representative working in a non-specialized capacity at the company, and apply sanctions against the State Capital Shareholder Representative according to the provisions of the law.

4. Take the lead and coordinate with the Ministry of Labor, War Invalids and Social Affairs to supervise the implementation of labor management regulations, wages, remuneration, and bonuses for companies assigned State Capital Shareholders according to the provisions of the law.

5. Summarize the annual labor, wage, remuneration, and bonus situation of companies along with data in Form No. 5 and No. 6 issued together with this Circular, and send them to the Ministry of Labor, War Invalids and Social Affairs for consolidation and general supervision.

Article 21. Responsibilities of the Ministry of Labor, War Invalids and Social Affairs

1. Coordinate with the State Capital Ownership Representative Authority to supervise the implementation of labor management regulations, wages, remuneration, and bonuses for companies according to the provisions of the law.

2. Participate in providing opinions with the State Capital Ownership Representative Authority regarding cases where the additional wage adjustment factor for full-time managers exceeds the prescribed range as stipulated in Clause 2, Article 13 of this Circular.

3. Consolidate and evaluate the labor, wage, remuneration, and bonus situation of companies and report to the Prime Minister as prescribed.

Article 22. Effectiveness

1. This Circular takes effect from October 15, 2016.

2. For cases where the Company's Shareholders' Meeting has approved or the Board of Directors has ratified the wage fund and incentive fund plan for 2016 before this Circular takes effect, the company shall determine the actual wage fund and incentive fund for 2016 according to the approved wage and incentive plan or adjust the planned wage and incentive fund and determine the actual wage fund and incentive fund for 2016 according to the provisions of this Circular.

3. The Board of Directors or the Chairman of the parent company of state-owned economic groups, the parent company of state-owned corporations, or the parent company in a group of parent-child companies held by the State with 100% capital contribution shall base their instructions and assignment of tasks to the State Capital Shareholder Representatives of enterprises to organize labor management, wages, remuneration, and bonuses at companies with controlling shares or contributions of the parent company according to the content stipulated in this Circular.

4. The State Capital Shareholder Representative at the parent company of state-owned economic groups, the parent company of state-owned corporations, or the parent company in a group of parent-child companies held by the State with controlling shares or contributions shall participate in providing opinions for the Board of Directors or the Board of Members to decide on the application of the provisions of this Circular to manage labor, wages, remuneration, and bonuses at companies with controlling shares or contributions of the parent company.

The Ministers, Heads of Ministries equivalent to Ministries, Heads of Government Agencies, Chairmen of Provincial People's Committees directly under the Central Government have the responsibility to direct, urge, inspect, and supervise the implementation of the provisions of this Circular.

During the implementation process, if there are difficulties, agencies, organizations, and companies are advised to reflect these issues to the Ministry of Labor, War Invalids and Social Affairs for timely supplementary guidance./.